On Tuesday, OpenAI revealed that it would be shutting down its Sora video generation tool, giving no official explanation for the decision but telling users that “we know this news is disappointing.” One immediate consequence of the Sora shutdown: Disney has reversed course on its billion-dollar investment in OpenAI. The Hollywood Reporter reveals that the studio will now be exiting the deal it made with the AI giant four months ago.
As part of that original deal, Disney agreed to license some characters for use in Sora, specifically characters unassociated with “any talent likenesses or voices.” As Consequence’s Wren Graves put it in our original coverage, “While you might see Elsa building an icy Death Star, you definitely won’t hear voice actor Idina Menzel singing about how Princess Leia needs to let it go.”
The first version of Sora launched in 2024, and became the subject of controversy due to concerns over copyright infringement and user treatment of historical figures like Dr. Martin Luther King Jr. Video creation will still be explored by OpenAI through ChatGPT and other services, and Disney may still continue to explore investment opportunities in the AI space. As a spokesperson told THR:
“As the nascent AI field advances rapidly, we respect OpenAI’s decision to exit the video generation business and to shift its priorities elsewhere. We appreciate the constructive collaboration between our teams and what we learned from it, and we will continue to engage with AI platforms to find new ways to meet fans where they are while responsibly embracing new technologies that respect IP and the rights of creators.”
